Pricing and Coordination Mechanism of Supply Chain considering Product Recycling under Asymmetric Power

Abstract

The concept of “green supply chain” puts forward new requirements for the recycling management of waste products. The waste electronic products are taken as the research object, and a two-stage closed-loop supply chain composed of a manufacturer, a retailer, and consumers is considered in this paper. By constructing a Stackelberg game model, the pricing strategy and profit distribution of the supply chain under different decision modes considering asymmetric powers are studied. Finally, Python is used for simulation. The results show that the gross profit of supply chain under decentralized decision is always lower than that under centralized decision-making, and asymmetric power has an impact on the pricing decision-making of forward supply chain and reverse supply chain; compared with transfer cost, wholesale price has a greater impact on coordination effect.

A Two-Stage Closed-Loop Supply Chain Pricing Decision: Cross-Channel Recycling and Channel Preference

“…In a highly competitive environment, every company is driven by its principle for maximising its profits. In this circumstance, decentralised decision-making is a better fit with practical reality [88][89][90]. In addition, cross-channel recycling increases the choice of recycling channels available to consumers and enhances their product recycling experience.…”